At the end of the lesson, the learners should be

able to:
 Formulate appropriate null and alternative
hypotheses on the population mean
 Identify the appropriate form of the test statistic
on the population mean when the population
variance is assumed to be known
 Identify the appropriate rejection region for a
given level of significance when the population
variance is assumed to be known
 Conduct the test of hypothesis on population
mean when the population variance is
assumed to be known
1. Formulate the null and alternative hypotheses.
2. Identify the test statistic to use. With the given
level of significance and the
distribution of the test statistics, state the decision
rule and specify the rejection region.
3. Using a simple random sample of observation,
compute the value of the test statistic.
4. Make a decision whether to reject or fail to
reject Ho.
5. State the conclusion.
Here are some real life problem situations that you can
use:
1. The father of a senior high school student is lists down
the expenses he will incur when he sends his
daughter to the university. At the university where he
wants his daughter to study, he hears that the
average tuition fee is at least Php20,000 per semester.
He wants to do a test of hypothesis.
In this problem, the parameter of interest is the average
tuition fee or the true population mean of the tuition
fee. In symbol, this parameter is denoted as μ. As
applied to the problem, the appropriate null and
alternative hypotheses are:
Ho: The average tuition fee in the targeted university is
at least Php20,000. In symbols,
Ho: μ ≥ Php20,000.

Ha: The average tuition fee in the targeted university is

less than Php20,000. In symbols,
Ha: μ < Php20,000.
2. The principal of an elementary school believes that this year, there
would be more students fromthe school who would pass the
National Achievement Test (NAT), so that the proportion of
students who passed the NAT is greater than the proportion
obtained in previous year, which is 0.75. What will be the
appropriate null and alternative hypotheses to test this belief?
In this problem, the parameter of interest is the proportion of students
of the school who passed the NAT this year. In symbol, this
parameter is denoted as P. As applied to the problem, the
appropriate

null and alternative hypotheses are:

Ho: The proportion of students of the school who passed the NAT this
year is equal to 0.75. In symbols,

Ho: P = 0.75.

Ha: The proportion of students of the school who passed the NAT this
year is greater than 0.75. In symbols,

Ha: P > 0.75.